---
title: "What is IGST?"  
description: "What is IGST?"  
author: "Bhavya Varma"  
published: 2017-11-14  
canonical: https://answers.mindstick.com/qa/30489/what-is-igst  
category: "indian economy"  
tags: ["gst", "current affair"]  
reading_time: 1 minute  

---

# What is IGST?

What is IGST?

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## Answers

### Answer by Hitesh Vohra

- The **Integrated Products and Services Tax, or IGST,** is a GST-based tax that applies to interstate (between two states) as well as imports and exports of goods and/or services. The IGST Act regulates the IGST. The Central Government is in charge of collecting the taxes under the IGST. The Central Government divides the taxes collected among the several states after they have been collected.
- Consider the case of Rajesh, a Maharashtra businessman who sold items for Rs. 100,000 to Anand, a Gujarat businessman. The GST rate is 18%, which includes the IGST rate of 18%. The dealer must charge Rs. 18,000 as IGST in this situation. This IGST will be directed to the Center.

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## Read More: [What is SGST?](https://answers.mindstick.com/qa/30490/what-is-sgst)


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